Strategy of Kfc

This project puts in perspective the multinational company called Yum!Brands, which is an American company in the fast-food industry. We will be discussing about some aspects of this company generally, but we intend to give more details on the company Kentucky Fried Chicken(KFC) which is one of the Strategic Business Units (SBU) of Yum!Brands.

We will give the profile of Yum!Brands and KFC, and also analyze the strategy of the company, its internal and external environment, its position vis-à-vis its competitors, its competitive advantage and how far it has come/how well it is doing today. We intend to focus on one local market, so in this project we are taking KFC China as our case study.

We decided to choose Yum!Brands and specifically KFC as our project case study because we have noticed the rapid growth of the fast-food industry. Fast-food is a typical American trend which reflects the American eating culture of “grabbing a quick bite” so to speak. Today people are very busy, not only in America but all over the world. People have less time to sit and eat a home cooked meal, especially at lunch time when almost everyone is out of the house and working. The most convenient thing to do is to go for a “fast-food”. We noticed that this trend has even moved from being just a lunch-time substitute for home cooked meals to being a fun time meal between friends, colleagues and family. Some corporate bodies even order fast-food for meetings or corporate get-togethers. It is easy to hear that a company in the high-tech industry or car industry makes a lot of money, but when a company is founded to sell food, one cannot help but wonder if such a company can be profitable and if it uses business strategies like any other company. Nobody can sit in his or her house and manufacture a car, a mobile phone or a computer but food is something that almost…...

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...CHICKEN
[pic]
Submitted by-
Rohit Ahuja
0791491708
BBA (gen) SEM 3
CERTIFICATE
This is to certify that Rohit Ahuja student of MSI of course BBA Batch (2008-2011), has completed her research work titled “Marketing Strategies of PVR Cinemas” under my guidance and supervision .The work submitted is genuine and authentic. Certificate
PARAMVEER
ACKNOWLEDGEMENT
With profound sense of gratitude and regard, I express my sincere thanks to my guide and mentor Mr.PARAMVEER, for his valuable guidance and the confidence he instilled in me, that helped me in the successful completion of this project report. Without his help, this project would have been a distant affair.
His thorough understanding of the subject and professional guidance was indeed of immense help to me.
Also, this acknowledgement would remain incomplete without thanking the staff of KFC(RAJOURI GARDEN), New Delhi for their whole-hearted and kind co-operation.
I am also greatly thankful to the faculty members of our institute who co-operated with me and gave me their valuable time. Acknowledgement
ROHIT AHUJA
Introduction of
Company
KFC Corporation, based in Louisville, Kentucky, is the world’s most popular chicken restaurant chain, specializing in Original Recipe ®, Extra Crispy TM, and Colonel’s Crispy Strips® chicken with home style sides and five new freshly made......

...Preface
This report focus on KFC marketing strategies, its marketing environment , demographicfactor ,marketing factors. We designed a report to provide a brief description about itsmarketing mix & its major competitors in Pakistan. We also discuss four P’s of marketing & their marketing tools.In addition to it, this report includes a research base survey on KFC. We all have triedour level best to fulfill all the requirements mentioned to us. Now its depend upon thereader to read it carefully and understand what we want to communicate. This report provides a brief knowledge about KFC in Pakistan.
Acknowledgement
In the name of Allah, the most beneficent & the Merciful.Firstly, we all likely to thank mighty Allah who provides us knowledge, energy & skillsto get opportunities & to increase our knowledge & experience by completing this project.Secondly, we especially thank to our instructor Ms. RAHEELA ZULFIQAR who guidesus at every step & every aspect of this report, so that’s competed successfully.Finally, thanking management of KFC, for providing us with helpful knowledge needed.After that we are able to complete this report with hard working & cooperation.
EXECUTIVE SUMMARY
In September 2007, Ms. RAHEELA ZULFIQAR assigned us a project. We are asked toexplain how our chosen product is being marketed, and how environmental factors, buying behavior, market segmentation, demographic trends, target market, positioningstrategies, marketing mix, market planning & brands are......

...|
KFC in Pakistan |
Case Study |
Submitted by:
S.M. Ahtashamul Hoque
April 12, 2013
HISTORY OF KFC
Historically fast food industry had emerged in the 1920’s to cater the needs of American busy lifestyle. “White Castle” is generally considered the first fast food restaurant started in 1921. Later on, many other fast food brands have launched their operation & became successful. Basically fast Food Industry boom took place during the period of 1950s to 70s in which many successful global brands started their operation. Globally some famous fast food brands are KFC (1952), McDonald (1940s), Burger King (1954), Arby’s (1964), and Wendy’s (1974).
Kentucky Fried Chicken (KFC) is founded by Colonel Harland Sanders is one of the most recognized fast food chains in America. Recently it is owned by PepsiCo and became the part of their Tricon Global Restaurant Division, now a day known as “Yum Brand”. KFC operates in more than 80 countries & territories with over 11000 outlets today serving some 8 million customers every day. Along with core product line fried chicken, they have been satisfying customers with Chicken Nuggets, Popcorn chicken, Hamburgers, Pork ribs & a variety of desserts.
KFC- PAKISTAN:
KFC launched its operation in Pakistan in 1996, opening its 1st outlet at Gulshan e iqbal, Karachi in January’ 1997. It has got a tremendous market in Pakistan & currently operating in 11 cities with 40 outlets nationwide. The franchise right of KFC......

... Recommended Marketing strategies and programmers
The marketing strategies should be aligned with the business objective sets above, to do so; some marketing recommendations will be suggested in order to help in the achievement of KFC’s objective in Africa.
In general, my suggestion of marketing strategy in Africa, it is to relay more on customer satisfaction and loyalty as the new trend of marketing which gives customer the priority in every action taken by the KFC, that will actually inverse the organization chart from traditional to Modern one. (Please refer to appendix 2)
Showing to Africans that KFC is not there to only generate profits, but also to help in the development of the their countries like: working with the governments to reduce the poverty, given some scholarships to student, sponsoring associations and advising the youth entrepreneurs, in how to star up their business. Adding to this investing lot of money on corporate social responsibility, all that will be reflect positively on the KFC brand and create word of mouth among people, businesses and governments, which can increase the awareness of KFC and get a easy access to all Africa’s opportunities.
 Segmenting and targeting
Children must be segmented separately and target with some menus which include toys and magic cards, also for weekends KFC can organize some competition of sport games or singing which can be opportunity for children to get together and have fun.
Youth are the most consumer...

...fast food service provider. KFC, which is one of its subsidiaries, not only specializes in fried chicken but is also the leading brand for it. KFC China, since its inception, has been growing at a very fast pace. It has taken astute strategic steps to establish itself in China. It had various key competitive advantages which permitted it to expand to more than 4000 outlets in China (Bell and Shelman, 2011). The company hired a managerial team from Taiwan which had an experience of more than 15 years in the fast food industry (Cho, 2009). It introduced a new concept of high-end, modern and western fast food in China. People considered KFC to be a nice place where they could take their dates. The Chinese love fried chicken, which is probably one of key reasons it has a competitive advantage over the beef focused MacDonald’s, with a ratio of 2:1 unprecedented anywhere else in the world (Cho, 2009). It also catered to local tastes by localizing its menu to suit the Chinese and acquired East drawing- a chain which serves local food. KFC china is also known for its frequent product releases. KFC also dealt with China’s dynamic and rapidly changing business environment by establishing its own supply chain and owning most of the chains instead of giving franchisees like it operates in the US. This was mainly to protect itself from the problems it could face by getting off on the wrong foot with the local partners. (Bell and Shelman, 2011)
However, in 2012, KFC china saw its sales......

...McDonald's and Kentucky Fried Chicken (KFC) Development in China
Wei Hu & Yuanyuan Xie Bachelor’s Thesis
28. 04. 2013 International Business Administration
Bachelor’s degree (UAS)
SAVONIA UNIVERSITY OF APPLIED SCIENCES THESIS Abstract Field of Study Social Sciences, Business and Administration Degree Programme Degree Programme in International Business Author(s) Wei Hu & Yuanyuan Xie Title of Thesis Comparative Study of McDonald's and Kentucky Fried Chicken (KFC) development in China Date 28.04.2013 Pages/Appendices 53+2 Supervisor(s) Jari Niemelä &Heikki Likitalo Client Organization/Partners McDonald's Corporation & Kentucky Fried Chicken Corporation Abstract McDonald's and KFC are two international fast food restaurants. They both expended their businesses in global scale. It is obvious that McDonald surpassed KFC in terms of sales and fame in international level. However, in China, KFC performs better than McDonald's. The aim of this study is to find out how these two companies developed differently in Chinese market. By making a comparative study of McDonald's and KFC, different operation and competitive strategy theory will be integrated with their development situation. Research is made based on strategy theory, Internet sources and interviews. The thesis is started with general information, Chinese fast food industrial situation introduction and thesis structure. After having introduced the two companies background, we illustrated strategy theory as thesis......

...BBA 11 )
th
Preston University Peshawar Session 2006 ² 2010
Project Report
Marketing Strategies With Reference To Kentucky Fried Chicken
A Project report submitted to the Preston University in partial fulfillment of the requirement for the Degree of Bachelor of Business Administration. Supervised by : Prof.Dr.Zain Yousafzai Submitted by : Siawoosh Wared ( BBA Hons ) Registration # 1711 ² 306055 ( BBA 11th )
Preston University Peshawar Session : 2006 ² 2010
II
Project Report
On
CD Page
III
Approval Sheet
Vice Chancellor :
______________________
Prof.Dr.Anwar Hassan
Internal Supervisor :
______________________
Prof.Dr.Zain Yousafzai
External Supervisor :
__________________
Department of Business Administration Preston University Peshawar
IV
Preface
This report focus on KFC marketing strategies, its marketing environment , demographic factor ,marketing factors. I designed a report to provide a brief description about its marketing mix & its major competitors in Pakistan. We also discuss four P·s of marketing & their marketing tools. In addition to it, this report includes a research base survey on KFC. We all have tried our level best to fulfill all the requirements mentioned to us. Now its depend upon the reader to read it carefully and understand what we want to communicate. This report provides a brief knowledge about KFC in......

...MARKETING STRATEGIES OFKFC |
SUBMITTED BY:
Ms. ASHNA KHANNA
B.COM (HONS.) (2013-2016)
Roll No. : 162
FACULTY GUIDE: STUDENT NAME:
Mr. ADARSH ARORA ASHNA KHANNA DESIGNATION: ENROLLMENT NO.:
A3104613162
COURSE & BATCH:
B.com (hons.) ; 2013-16
AMITY COLLEGE OF COMMERCE AND FINANCE, NOIDA
AMITY UNIVERSITY – UTTAR PRADESH
CERTIFICATE OF ORIGIN
This is to affirm that I, Ms. ASHNA KHANNA, a student of Under Graduate Degree in B.com (HONS.); 2013-2016, Amity College of Commerce and Finance, Noida has worked under the able direction and supervision of Mr. ADARSH ARORA, designation______________,
This Project report has the essential standard for the partial fulfillment of the Under Graduate Degree in Commerce and Finance. To the best of our insight no piece of this report has been recreated from any other report and the contents are established on unique exploration.
I am mindful that in the event of non-compliance, Amity College of Commerce and Finance is qualified to cancel the report.
Signature......

...Strategy recommendation for how KFC should incorporate the reality of the Internet and social media into its business plan
Yum! Brands is a global company that operates in 41 different countries and territories with approximately 41,000 restaurants. The company was formed in 1997 as a spin-off of PepsiCo and has become a leader in international retail development, opening an average of five restaurants per day outside the U.S. Yum! Currently owns 3 different concepts: KFC, Taco Bell and Pizza Hut. Colonel Harland Sanders is the founder of Kentucky Fried Chicken and is proven to be a great American success story. He began frying chicken in the early 1930’s at a travelers’ service station in Corbin, KY and after perfecting his 11 herbs and spices and frying technique that is still used today, the Colonel began franchising in 1955. 10 years later there were over 600 restaurants in the U.S. and Canada.
The Benefits of using social media and the internet
The benefits in using social media and the internet for any business is to increase exposure, gain traffic and connect with people. A business needs to create strategies that link the customer experience with the technologies and systems required to deliver the right content at the right time. (Hisaka, 2012, para. 1) KFC has to stay relevant to its customers and followers because it’s a brand that everyone knows and has been around since the 1950’s. Interacting with customers and asking for their opinion......

...of organization: KFC
Chicken meat production is the largest sub segment of South African agriculture. It contributes almost 18% to agriculture's gross income which contributes to the economy growth and development of the nation. Chicken meat is the most important protein source in the diet of the majority of South Africans, including the poor. Chicken meat is the cheapest source (in terms of R/kg) of meat in South Africa, however, since 2013 chicken meat prices in South Africa increased by 13 percent and in the past year by more than eight percent, as increased import tariffs of chicken meat, coupled with anti-dumping duties, escalated local prices.
KFC is known to be a favorite of meat lovers it specializes in fried chicken, and this segmentation is the main success factor of KFC.
KFC’s key objectives include:
* To increase their market share in the fast food industry
* To improve annual profit margin in order to maintain company growth
* To increase shareholders dividends and franchise
KFC’s strategies
KFC’s main success strategy lies in their super secret blends of eleven herbs and spices that are used to differentiate their chicken from other organization offering similar services. In addition, their marketing and advertising strategy that portrays the product as an ultra-unique, one-of-a-kind thing, with no exact equal in the entire world to a target audience gives them competitive advantage over others.
Other key success factors of KFC include:......

...YUM! BRANDS, PIZZA HUT, AND KFC
Teaching Note
Overview
This case describes the evolution of the global fast-food industry and Yum! Brands, Inc.’s development of the Pizza Hut and KFC franchises worldwide. It focuses on international business risk assessment and develops a model of country evaluation that students can use to analyze international business and market entry decisions in a variety of industries, regions, and countries.
Teaching Objectives
1. Develop skills in industry analysis
2. Develop skills in global industry analysis.
3. Develop knowledge of franchising and the costs and benefits of expanding globally using franchises versus company-owned stores.
4. Develop skills in international business risk analysis.
5. Develop skills in country portfolio evaluation and assessment.
Suggestions for Using the Case
This case has been used successfully in undergraduate, MBA, and Executive MBA classes in strategic management, marketing management, and international business. It can be used in undergraduate courses to develop student skills in industry structure analysis, strategy analysis, and international business risk assessment. The teaching note is designed to give students practice in each of these three areas. Instructors may choose to use the case to discuss only one of these three areas during a single class period or to cover all three areas over two class periods. The case can be......

...KFC-Japan history from the beginning gives a good picture of the different
existing ways of managing subsidiaries. Lessons learned from successive
managers can help us to identify what is the best way of seizing external
opportunities in a given situation.
The dilemmas KFC is facing at the different stages of her history which can be
represented with the three stages theory describes well the organizational and
operational challenges usually faced by a “transnational” company.
Each appointed manager represents a specific way of managing subsidiaries or
a stage of the “three stages theory”. At the beginnings, each country manager
was on his own to make a success of his venture, and most had to learn the
business form scratch.
From this start point, the main issue is to determinate the appropriate level of
control in this given situation. The issue of performance measurement is closely
linked to the one of the level of control. On one hand, standardization facilitates
performance measurement and control, but can also lead to counter
performances if excessive. In this respect, it is very important to determine the
expected level of performance (the same everywhere?). On the other hand,
tolerating exceptions tends to weaken the whole system.
KFC development until the critical point of confrontation illustrates one of the
existing methods of launching a new activity overseas (I). Conflicts between
headquarters and KFC-J raise a number of issues which well......

...Hoi Shan Wu
Prof. Dennis Lee
Doing Business in China
16 May 2017
KFC in China
As China develops the pace of life has gotten quicker. The Chinese people’s demand for fast food service with good hygiene has grown due to fit their busier lifestyle. An analyst from China Venture Group, Wan GE, said that fast-food has become the first choice for 85% of Chinese city residents when eating out. (Hu and Chen) The fast-food industry in China is fast growing with an 11.6% growth from 2010 to 2015. (Fast-Food Restaurants in China: Market Research Report)
Kentucky Fried Chicken (KFC) a subsidiary of YUM! Brands, was the first quick-service restaurant (QSR) to enter China in 1987, and remains China’s number one QSR today with more than 5000 restaurants in over 1100 cities. (Yum! Restaurants in China)
KFC started as a joint venture company; 60% stake held by KFC, 27% by the Beijing Tourist Bureau and 13% by Beijing Food Production. In 1988, Bank of China bought 25% of the venture, diluting KFC to 51% of shares. The first KFC was opened in Beijing, Qianmen, five minutes away from Tiananmen square. (Qingfen)
When KFC first entered China, it was a great success. It was an eye-opener into American cuisine and culture. Chinese consumers had the perception that anything from the west is the best; since KFC is from the west it was the best.
Chicken is the second preference of meat followed by pork in China. Naturally Chinese customers loved KFC’s fried chicken not only because of the product...

...Kentucky Fried Chicken
 Four P¶s of Marketing mix.
Introduction
 KFC Corporation, or KFC, founded and also known as Kentucky Fried Chicken, is a chain of fast food restaurants based in Louisville, Kentucky. KFC is a brand and operating segment, called a "concept" of Yum! Brands since 1997 when that company was spun off from PepsiCo.  KFC primarily sells chicken in form of pieces, wraps, salads and sandwiches. While its primary focus is fried chicken, KFC also offers a line of roasted chicken products, side dishes and desserts.
Marketing Mix
 The marketing mix is generally accepted as the use and specification of the 'four Ps' describing the strategic position of a product in the marketplace.  Product  Price  Place  Promotion
Product
Anything that can be offered to a market to satisfy a want or need. KFC's specialty is fried chicken served in various forms. KFC's primary product is pressure-fried pieces of chicken made with the original recipe. The other chicken offering, extra crispy, is made using a garlic marinade and double dipping the chicken in flour before deep frying in a standard industrial kitchen type machine.
Segmentation
 Geographic segmentation : KFC has outlets internationally and sells its products according to geographic needs of the customer. In India KFC focuses how geographically its customers demand different products. In north India Chicken is the main selling product, while in the south the Veg. items sell more than the......

...are served at KFC restaurants in 109 countries and territories around the world. KFC operates more than 5,200 restaurants in the United States and more than 15,000 units around the world. KFC is world famous for its Original Recipe® fried chicken, made with the same secret blend of 11 herbs and spices Colonel Harland Sanders perfected more than a half-century ago. Customers around the globe also enjoy more than 300 other products -- from Kentucky Grilled Chicken in the United States to a salmon sandwich in Japan. In my paper I will be reviewing KFC in Japan and explaining the following:
1. KFC’s History 5. The Culture
2. Management 6. Economics
3. Legal Practices 7. Geography
4. Political Structures 8. Competition
KFC is a predominant franchise that’s nationwide. KFC is part of Yum! Brands, Inc., the world's largest restaurant company in terms of system restaurants, with more than 36,000 locations around the world. KFC is ranked #239 on the Fortune 500 List, with revenues in excess of $11 billion in 2008.
KFC’s History
Colonel Harland Sanders was the founder of Kentucky Fried Chicken. In 1952 the Colonel begins actively franchising his chicken business by traveling from town to town and cooking batches of chicken for restaurant owners and employees. In 1960 the Colonel's hard work on the road begins to pay off and there are 190 KFC franchisees and 400 franchise units in the U.S. and Canada. In 1964 KFC reached......